1. Money pt 2 IDCC PPT 8.0 B Paget & R Hayes

2. Where are we up to in the project? 1.Cost Forecasting – Establishing the budget 2.Cost Planning – Designing to the budget 3.Cost Checking/remedial action –Controlling the budget Controlling costs

3. How can we do it? Definitions Function - The main purpose that the building. Functional Unit - The factor that expresses the intended use of the building better than any other. e.g. Number of pupils in a school; number of cars in a car park; etc.. Gross Internal Floor Area (GIA) - The total internal floor area measured to the inside face of the external walls. (Measured overall internal walls, partitions, staircases, and voids). Controlling costs

4. 1.Cost Forecasting – Establishing the budget 2.Cost Planning – Designing to the budget 3.Cost Checking/remedial action –Controlling the budget Controlling costs 1.Cost Forecasting – Establishing the budget How can we forecast how much it might be if there are no or few drawings?

5. 1.Cost Forecasting – Establishing the budget 2.Cost Planning – Designing to the budget 3.Cost Checking/remedial action –Controlling the budget Controlling costs 1.Cost Forecasting – Establishing the budget How can we forecast how much it might be if there are no or few drawings? We can define the project in a number of ways to make comparisons, here are just two types; Functional unit costing Functional space costing Superficial cost/m2 gross Internal Floor Area (GIFA) Functional area cost/m2 per function

6. 1.Cost Forecasting – Establishing the budget 2.Cost Planning – Designing to the budget 3.Cost Checking/remedial action –Controlling the budget Controlling costs 1.Cost Forecasting – Establishing the budget How can we forecast how much it might be if there are no or few drawings? We can define the project in a number of ways to make comparisons, here are just two types; Functional unit costing Functional space costing Superficial cost/m2 gross Internal Floor Area (GIFA) Functional area cost/m2 per function E.g. car park – number of cars - Cost per car school - number of pupils – Cost per pupil Restaurant– customer seating – Cost per diner

7. 1.Cost Forecasting – Establishing the budget 2.Cost Planning – Designing to the budget 3.Cost Checking/remedial action –Controlling the budget Controlling costs 1.Cost Forecasting – Establishing the budget Exercise 2 Functional unit costing Consider an existing multi-storey car park: - total cost of construction = £6,000,000 - number of cars accommodated = 1000 What is the cost per parking space?

8. 1.Cost Forecasting – Establishing the budget 2.Cost Planning – Designing to the budget 3.Cost Checking/remedial action –Controlling the budget Controlling costs 1.Cost Forecasting – Establishing the budget Exercise 2 Functional unit costing Consider an existing multi-storey car park: - total cost of construction = £6,000,000 - number of cars accommodated = 1000 - cost per car parking space: -£6,000,000/1000 = £6,000

9. 1.Cost Forecasting – Establishing the budget 2.Cost Planning – Designing to the budget 3.Cost Checking/remedial action –Controlling the budget Controlling costs 1.Cost Forecasting – Establishing the budget Exercise 2 Functional unit costing - cost per car parking space: -£6,000,000/1000 = £6,000 Now consider a proposed multi-storey car park: - number of cars to be accommodated = 400 - assumed cost per space = £6,000 What's the forecasted cost?

10. 1.Cost Forecasting – Establishing the budget 2.Cost Planning – Designing to the budget 3.Cost Checking/remedial action –Controlling the budget Controlling costs 1.Cost Forecasting – Establishing the budget Exercise 2 Functional unit costing - cost per car parking space: -£6,000,000/500 = £6,000 Now consider a proposed multi-storey car park: - number of cars to be accommodated = 400 - assumed cost per space = £6,000 total cost of proposed car park: £6,000 * 400 = £2,400,000

11. 1.Cost Forecasting – Establishing the budget 2.Cost Planning – Designing to the budget 3.Cost Checking/remedial action –Controlling the budget Controlling costs 1.Cost Forecasting – Establishing the budget How can we forecast how much it might be if there are no or few drawings? We can define the project in a number of ways to make comparisons, here are just two types; Functional unit costing Functional space costing Superficial cost/m2 gross Internal Floor Area (GIFA) Functional area cost/m2 per function E.g. Restaurant– GIFA area– Cost per sq/metre Shop – GIFA area - Cost per sq/metre

12. 1.Cost Forecasting – Establishing the budget 2.Cost Planning – Designing to the budget 3.Cost Checking/remedial action –Controlling the budget Controlling costs 1.Cost Forecasting – Establishing the budget Exercise 3 Functional space costing Superficial cost/m2 gross Internal Floor Area (GIFA) E.g. Restaurant– GIFA area– Cost per sq/metre Shop – GIFA area - Cost per sq/metre

13. 1.Cost Forecasting – Establishing the budget 2.Cost Planning – Designing to the budget 3.Cost Checking/remedial action –Controlling the budget Controlling costs 1.Cost Forecasting – Establishing the budget Exercise 3 Functional space costing Superficial cost/m2 gross Internal Floor Area (GIFA) E.g. Restaurant– GIFA area– Cost per sq/metre Shop – GIFA area - Cost per sq/metre Gross Internal Floor Area (GIA) - The total internal floor area measured to the inside face of the external walls. (Measured overall internal walls, partitions, staircases, and voids).

14. 1.Cost Forecasting – Establishing the budget 2.Cost Planning – Designing to the budget 3.Cost Checking/remedial action –Controlling the budget Controlling costs 1.Cost Forecasting – Establishing the budget Exercise 3 Functional space costing Superficial cost/m2 gross Internal Floor Area (GIFA) What do we include? Restaurant– GIFA area– Cost per sq/metre Shop – GIFA area - Cost per sq/metre

15. 1.Cost Forecasting – Establishing the budget 2.Cost Planning – Designing to the budget 3.Cost Checking/remedial action –Controlling the budget Controlling costs 1.Cost Forecasting – Establishing the budget Exercise 3 Functional space costing Superficial cost/m2 gross Internal Floor Area (GIFA) What do we include? Restaurant– GIFA area– Cost per sq/metre Shop – GIFA area - Cost per sq/metre (36m x 10m) + (11m x 3.3m) =?

16. 1.Cost Forecasting – Establishing the budget 2.Cost Planning – Designing to the budget 3.Cost Checking/remedial action –Controlling the budget Controlling costs 1.Cost Forecasting – Establishing the budget Exercise 3 Functional space costing Restaurant– GIFA area– £1,000 per sq/metre - what's the total? (36m x 10m) + (11m x 3.3m) =?

17. 1.Cost Forecasting – Establishing the budget 2.Cost Planning – Designing to the budget 3.Cost Checking/remedial action –Controlling the budget Controlling costs 1.Cost Forecasting – Establishing the budget Exercise 3 Functional space costing Restaurant– GIFA area– £1,000 per sq/metre - what's the total? (36m x 10m) + (11m x 3.3m) =396.3sq/m

18. 1.Cost Forecasting – Establishing the budget 2.Cost Planning – Designing to the budget 3.Cost Checking/remedial action –Controlling the budget Controlling costs 1.Cost Forecasting – Establishing the budget How can we forecast how much it might be if there are no or few drawings? We can define the project in a number of ways to make comparisons, here are just two types; Functional unit costing Functional space costing Superficial cost/m2 gross Internal Floor Area (GIFA) Functional area cost/m2 per function E.g. Shop – individual functions area – retail area - cost per sq/metre + WC area cost per sq/metre

19. 1.Cost Forecasting – Establishing the budget 2.Cost Planning – Designing to the budget 3.Cost Checking/remedial action –Controlling the budget Controlling costs 1.Cost Forecasting – Establishing the budget Exercise 4 Functional space costing Functional area cost/m2 per function What do we measure? (36m x 10m) + (11m x 3.3m) =?

20. 1.Cost Forecasting – Establishing the budget 2.Cost Planning – Designing to the budget 3.Cost Checking/remedial action –Controlling the budget Controlling costs 1.Cost Forecasting – Establishing the budget Exercise 4 Functional space costing Functional area cost/m2 per function What do we measure? (36m x 10m) + (11m x 3.3m) =?

21. 1.Cost Forecasting – Establishing the budget 2.Cost Planning – Designing to the budget 3.Cost Checking/remedial action –Controlling the budget Controlling costs 1.Cost Forecasting – Establishing the budget Exercise 4 Functional space costing Functional area cost/m2 per function Put a cost against each function (36m x 10m) + (11m x 3.3m) =?

22. Where would be up to in the project? 1.Cost Forecasting – Establishing the budget 2.Cost Planning – Designing to the budget 3.Cost Checking/remedial action –Controlling the budget Controlling costs

23. 1.Cost Forecasting – Establishing the budget 2.Cost Planning – Designing to the budget 3.Cost Checking/remedial action –Controlling the budget Controlling costs 1.Cost Forecasting – Establishing the budget With our shop we have the drawings so we can generate a more accurate forecast For next week; 1.Produce a functional unit costing based on 2 shoppers per sq/m – £300 per shopper 2.Produce a GIA for superficial cost using £500 per sq/m 3.Prepare to produce a functional cost using £ 550 per sq/m retail £ 300 per sq/m BOH

24. 1.Cost Forecasting – Establishing the budget 2.Cost Planning – Designing to the budget 3.Cost Checking/remedial action –Controlling the budget Controlling costs 1.Cost Forecasting – Establishing the budget How can we design to a budget?

25. 1.Cost Forecasting – Establishing the budget 2.Cost Planning – Designing to the budget 3.Cost Checking/remedial action –Controlling the budget Controlling costs 1.Cost Forecasting – Establishing the budget How can we design to a budget? A combination of Drawings Written description of the works Schedules Cost plan

26. 1.Cost Forecasting – Establishing the budget 2.Cost Planning – Designing to the budget 3.Cost Checking/remedial action –Controlling the budget Controlling costs 1.Cost Forecasting – Establishing the budget How can we design to a budget? A combination of Drawings Written description of the works Schedules Cost plan

27. Questions? IDCC PPT 8.0